Digital fund manager Halogen Capital has announced the official launch of its new Halogen Shariah Crypto Titans Fund (HSCTF), described as an actively managed fund that invests in a basket of digital assets with large market capitalisation. In addition to major coins like Bitcoin (BTC) and Ether (ETH), investors will also get exposure to other crypto assets such as Ripple (XRP), Solana (SOL), Avalanche (AVAX), and more.

Designed primarily for sophisticated investors with extremely high risk tolerance and a long-term investment horizon, the fund’s product highlight document states that 70% to 100% of its net asset value (NAV) will be invested in at least four shariah-compliant digital assets traded on a digital asset exchange (DAX) approved by the Securities Commission Malaysia (SC).

Aside from that, the fund may also invest in other trading platforms as approved by the shariah advisory council (SAC) of the SC, or foreign DAXs approved by its shariah advisor, Tawafuq Consultancy Sdn Bhd. The remaining 30% NAV (or less), meanwhile, will be invested in Islamic liquid assets, such as sukuk, Islamic money market instruments, and/or Islamic deposits.

In addition to that, up to 70% of the fund’s holding in ETH may be used for staking in the Ethereum network (proof-of-stake). This refers to a process where you lock some of your ETH (i.e. staking) to help support and secure the operation of the Ethereum network, which then earns you some passive income in return. Basically, think of it as some sort of fixed deposit for crypto!

Note that the minimum initial investment amount stands at RM10,000 (which applies to Halogen Capital’s other funds as well), while the minimum additional investment amount is set at RM1,000.

In terms of cost, the sales charge is up to 3% of the NAV per unit, and there is a management fee of up to 1.5% per annum. Additionally, the trustee fee can go up to 0.04% per annum of the NAV, subject to a minimum fee of RM20,000 per annum, but there is no redemption fee or switching fee. Do be aware as well that you must hold a minimum of 10,000 units in order to maintain an account with the fund, and there is a minimum redemption requirement of 1,000 units.

Founder and chief executive officer of Halogen Capital, Liew Ooi Hann said that the Halogen Shariah Crypto Titans Fund is a good way for investors to gain exposure to the cryptocurrency asset class as a whole. “The fund is constructed in such a way that aims to beat Bitcoin from a risk-return perspective,” he further commented; Liew had previously explained that the Halogen Shariah Crypto Titans Fund will automatically exclude coins or tokens that drop out of the top 20 tokens by market capitalisation to prevent long-term losses.

The Halogen Shariah Crypto Titans Fund is Halogen Capital’s fourth fund to be rolled out, complementing the its existing crypto-oriented Halogen Shariah Bitcoin Fund and Halogen Shariah Ethereum Fund. The digital fund manager also has the Halogen Shariah Ringgit Income Fund, a traditional fixed income fund designed to be a FD alternative offering high liquidity, and private mandate services to suit various preferences and risk appetites.

(Source: Halogen Capital)

• TAGS:
• Cryptocurrency
• Digital Asset Exchanges (DAX)
• Halogen Capital
• Halogen Shariah Crypto Titans Fund (HSCTF)
• Hann Liew
• Liew Ooi Hann
• Securities Commission
• Securities Commission Malaysia
• Tawafuq Consultancy
• Tawafuq Consultancy Sdn Bhd